APN appoints new Australian media CEO

Matt Crockett, chief development officer of APN’s digital division, has been made redundant as a result of the changes to the digital division. Photo: Robert Rough

Andrew Cleary

Troubled newspaper publisher APN News and Media has replaced two its most senior executives in a management reshuffle after Irish billionaire Denis O’Brien’s Independent News & Media seized control of the company earlier this year.

In a statement on Wednesday, the APN board said it noted the ongoing shake-up in the media industry and the difficult operating environment compounded by the mining slowdown, a drop in government advertising and the recent Queensland floods.

In the Australian regional media division, chief executive Warren Bright has been replaced with its group operations and procurement director, Neil Monaghan, with the board saying “a new direction of leadership is important to build on the progress made to date.”

A restructuring of APN’s digital division includes simplifying the management structure of businesses including brandsExclusive, GrabOne and CC Media, and disbanding the business development office.

Matt Crockett, chief development officer of APN’s digital division, has been made redundant as a result of the changes to the digital division.

APN’s new chairman, Peter Cosgrove, said the company did not intend to make and significant digital investments this year.

“We are committed to our digital ventures and our focus now is to drive the performance of these businesses and link them with our other media assets,” Mr Cosgrove said.

The company angered shareholders with its $36 million acquisition of digital ­business brandsExclusive in June last year.

“It looks to us like that brandsExclusive acquisition was either a waste of money or extremely expensive,” Mr Mahwhinney said.

“We don’t see the need for them to expand, but at the same time we don’t want to categorically rule something like that out - it’s ultimately something for the board and they need to be prepared to live and die by their actions.”

Mr Mahwhinney declined to comment on the management changes, saying Allan Gray was not familiar with the new appointment in Mr Monaghan, nor was it consulted about such changes.

Of the strategic direction under APN’s new board, the fund manager said: ”They have their asset base, they are doing the best they can and not spending their way out of a difficult patch, and it seems like they’re going in the right direction.”